Companies are struggling to differentiate between rewarded and unrewarded risks. North America's hydrocarbon boom is making once far-off possibilities like filling your car tank with gasoline made from natural gas near-term realities. The five articles in this chapter probes how clients are revising their business models in reaction to some of these trends by taking a smarter approach to enterprise risk management, C-Suite risk communication, opportunities in Asia, and more complex automotive development cycles.
RISK IN THE C-SUITE
Scott Gilbert, Marsh & McLennan Companies’ Chief Risk and Compliance Officer, and Bruce Nolop, a member of the company’s compliance and risk committee, have been involved in efforts to improve risk communication between the board and the C-suite ever since they joined the company’s ranks in 2005 and 2008, respectively. Marsh & McLennan Companies introduced a risk appetite statement in July.
Gilbert and Nolop share their perspectives on what it takes to improve a company’s risk communication in an environment of increasingly interconnected and complex risks, as well as how far business leaders still need to go not just to maintain but to improve their financial performance by taking calculated risks.
